Financial watchdog consults about protections for insurance customers in financial difficulty

The FCA is proposing to update guidance, introduced during the Covid-19 pandemic, to support insurance customers in financial difficulty.

As part of the FCA’s ongoing work to help protect customers during the current cost of living squeeze, this will provide clarity to firms about how they should support all struggling customers, not just those facing problems due to the pandemic.

For example, under the guidance, insurers should consider whether a different product is more suitable for customers facing financial difficulties and whether they should waive cancellation and other fees associated with adjusting customers’ policies.

Financial watchdog consults about protections for insurance customers in financial difficulty | FCA